The Current Ratio May Also Be Referred to as the

question 13

Multiple Choice

The current ratio may also be referred to as the

• A) short run ratio.
• B) acid-test ratio.
• C) working capital ratio.
• D) contemporary ratio.

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Definitions:

Excise Tax

A tax charged on specific goods and services, such as tobacco, alcohol, and gasoline, usually intended to discourage their use or generate revenue.

Revenue Generated

The total amount of money received by a company from its sales of goods or services, before any expenses are subtracted.

Deadweight Loss

A decline in economic productivity that happens when a good or service does not reach or cannot reach its equilibrium.

Excise Tax

A tax levied on specific goods, services, or transactions, often included in the price of the product, such as alcohol, tobacco, and fuel.